Trump considers replacing Defense Secretary Hegseth

Serenity noted in a post that the current market deleveraging has been severe, with investors indiscriminately selling off stocks related to the AI industry chain, and some companies’ share prices have even fallen back to levels seen before major orders and earnings expectations were met. Taking storage chip firm ESMT as an example, Serenity pointed out that the company has a market cap of around $2 billion, generated $526.2 million in gross profit and $330 million in net profit in the third quarter, with net assets of approximately $937 million, including net cash of about $740 million. Based on annualized current earnings, its price-to-earnings (P/E) ratio is only around 1.6x. Despite ongoing market concerns about a cycle peak, unsustainable earnings, and lack of competitive moats, the exit trend from DDR2 and DDR3 production lines is tightening supply. ESMT expects it may offset weakening consumer demand in the fourth quarter by raising average product prices. Serenity further noted that manufacturers including Samsung and Micron are gradually exiting DDR2 and DDR3 production lines, and Nanya Technology has also halted related lines; ESMT’s revenue is mainly derived from these two types of storage products. It believes the market has underestimated the price support brought by the contraction in traditional storage supply, and overlooked that firms like Micron, Samsung, SK Hynix, and SanDisk are locking in profitability through long-term supply agreements and price floors. Serenity criticized that the market is simultaneously selling off AI and storage industry chain companies that actually generate massive cash flow, while channeling funds to firms like Walmart (with a P/E ratio of around 47x) and CrowdStrike (with a forward P/E ratio of approximately 180x). In its view, the market is currently not focusing on the actual free cash flow created by enterprises, but is trapped in indiscriminate selling.

Per TradingBeats' monitoring, a Hyperliquid trader today failed to close their positions amid falling oil prices, instead transferring remaining USDC in their wallet to the platform to add to their position. Currently, their crude oil long position’s unrealized loss has expanded to roughly $13 million. They hold 1 million BRENT contracts (valued at ~$95.9 million) and 581,000 CL contracts (valued at ~$52.2 million), with total exposure of ~$148.1 million and leverage of approximately 9x. On November 3, the same trader held 869,000 BRENTOIL contracts (valued at ~$91.1 million) and 581,000 CL contracts (valued at ~$56.2 million), for a total crude oil long exposure of ~$147.3 million and leverage of 7.8x. At that time, the combined unrealized loss of the two positions stood at around $1 million.

According to TradingBeats' monitoring, as the overall crypto market rebounds, the 25x leveraged ETH long position held by the address of "Big Brother Ma Ji" Huang Licheng has now generated an unrealized profit of over $500,000. His long position size has increased from 2,725 ETH to 6,699 ETH, with the latest entry price at $2,359.82.

According to Bitget market data, Brent crude oil plunged 7.00% intraday, currently trading at $96.45 per barrel. WTI crude oil fell more than 6% intraday, now at $90.25 per barrel.

According to data from the BIT Stock Platform, the Philadelphia Semiconductor Index extended its decline to 5%. Marvell Technology Group (MRVL.O) fell more than 9%, Micron Technology (MU.O) dropped over 6%, Intel (INTC.O) declined more than 5%, while NVIDIA (NVDA.O) and Broadcom (AVGO.O) fell more than 2%.

Against a sharp rebound in U.S. equities today, storage and semiconductor sectors fell sharply against the trend: the Philadelphia Semiconductor Index extended its decline to 5%. Marvell Technology Group (MRVL.O) dropped over 9%, Micron Technology (MU.O) fell more than 6%, Intel (INTC.O) declined over 5%, while NVIDIA (NVDA.O) and Broadcom (AVGO.O) fell over 2%. Seagate Technology (STX) lost 6.82%, Western Digital (WDC) fell 5.54%, SanDisk (SNDK) dropped 8.20%, and SK Hynix ADR (SKHY) declined 4.77%. Analysts point out that after the Democratic Party swept Congress, investors are worried about future intensified regulation, approval restrictions, and rising local opposition to AI data center construction, which may slow infrastructure development, weighing on related stocks in the short term. Recently, SK Hynix, Samsung, Micron and others have all highlighted in their financial reports and guidance that AI demand remains robust, HBM and server products are sold out, and profit margins are high. Institutions including JPMorgan and TrendForce also hold that fundamentals are solid, with prices still having upside potential by 2027, and the overall market size has been significantly upward revised. There has been no substantial slowdown on the demand side; AI remains the absolute core theme, and the logic of shortage and price hikes remains intact. The recent pullback in storage stocks is more a market sentiment reaction to concerns about the sustainability of AI capital expenditure, financing pressure, valuation adjustments, and post-election regulatory risks, rather than a deterioration in demand itself.